Lockheed Wins $10 Billion Contract To Build ‘Super Hercules’ Airplane

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The U.S. Air Force announced an impressive $10 billion contract with Lockheed Martin Corporation for a versatile military transport plane.

The contract covers all manufacturing of Lockheed’s C-130J, known as the “Super Hercules,” for the next decade, including sales of the four-propellor aircraft to foreign countries, the Department of Defense said in the announcement Friday.

The amount Lockheed receives through the contract depends on how many C-130J’s the DoD orders, but the total can’t exceed $10 billion. The government refers to these kinds of contracts as “indefinite delivery, indefinite quantity,” which means the agency can order as much as they want, up to the contract ceiling. “This is a cumulative ceiling to cover all future delivery orders within scope of this contract,” the announcement says.

Super Hercules planes are used by 16 foreign countries, and other types of the plane are in operation in 68 countries. The plane can carry 20 tons and more than 90 passengers, and is widely used for parachute drops, rescue operations, aerial refueling and patrol missions, according to Air Force Technology.

The first iteration of the C-130 entered the Navy in 1954, and is one of the most widely used aircraft in the world.(RELATED: These Are The 12 Longest-Serving US Military Weapons [SLIDESHOW])

Lockheed Martin is the largest U.S. defense contractor, and received a total of $36 billion in contracts last year, Defense News reported.

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